HSBC awards bonuses despite failure to meet targets

HSBC has paid out bonuses to employees reportedly worth nearly £30m, despite failing to meet performance targets.

The bonuses, which were reportedly paid to approximately 12,000 staff, are linked to the performance of the company’s shares. Despite failing to meet targets, however, notes in its latest annual report, published last month, said that, due to sustained performance and shareholder returns the Remuneration Committee: "exercised its discretion, as permitted within the [HSBC Holdings Group Share Option] Plan, to waive the [total shareholder return] performance condition.’

HSBC’s performance is measured on total shareholder return, which calculates the growth in share value and dividends paid to show the total return to shareholders.